THE MOVES

Cutting to the chase, the markets are very ugly and it seems to get worse as they are now lower six weeks in a row- any chance of a decent bounce/bottom any time soon?

Fib retracement may come into play soon as the DJIA hit a high of 14,200 in September of 2007 and a low of 7,200 in October of 2002- 50% retracement at the 10,700 area- not that far away;

SPX 1575 high in October of 2007 and 770 low in October 2002- 50% retracement near 1175- not that far away;

RUT - 856 high in June 2007 and low of 325 October of 2002- 61.8 retracement at/near 655 area;

RSI (2) levels:

SPX 24

DJIA 24

NAZ 34

NDX 28

RUT 65

MID 38

DJIA 9.3% below the SMA 50 while the SPX is 8.5% under;

VIX 10% above the SMA 10 but did trade at 29.44 on Friday or about 18% above- note still far away from the JAN/MAR highs at/near 37;

Note the volume pick up in the SDS - double short SPX etf- could be the real fear indicator;

A wild ride on Friday as rumors about FRE/FNM getting access to the FED window made the rounds- maybe before long they let us all get new cars using the FED window.